Apple TV+ will license its movies to other services to reduce losses, per report

5 days ago 4

Apple TV+ has had its share of hits, but the service nonetheless continues to struggle to gain widespread success. Now, according to a new report, Apple will start licensing some of its content elsewhere in an effort to save money and spread its reach.

Movies from Apple will start showing up on other services

Lucas Shaw writes for Bloomberg:

Apple has hired an executive to license its original productions to other companies, a strategy designed to increase sales from its film business and improve the visibility of its content.

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Apple is focused on licensing its movies to other companies, such as foreign TV networks and stores, where viewers can rent or buy them, according to a person familiar with the plans. The company isn’t planning to license its original TV shows to third parties. (At least not yet.)

Shaw notes that CEO Tim Cook and services head Eddy Cue have been pushing for the TV+ team to cut costs and find greater success.

The movie division especially has been under increased scrutiny lately, with its planned theatrical release of Wolfs canceled last minute. Apple has reportedly changed its film strategy to minimize the big budget theatrical productions and lean more into streaming-friendly, lower-cost fare.

Now licensing is apparently part of Apple’s plans to reduce its TV+ losses.

Licensing movies to ‘foreign TV networks and stores’ might not seem like a big deal on the surface, but from the start Apple TV+ has always had a global focus. It has also started creating a lot more foreign language series of late.

For all the trouble Apple TV+ has had building momentum in the US, though, this move indicates it may be struggling even more internationally. Thus, licensing movies to foreign TV companies could help build Apple’s brand while also stemming some losses.

What do you think of Apple’s new movie plan? Let us know in the comments.